I doubt the PS3 would have PS1 compatability. The games would be so old, there really wouldn\'t be enough demand for it to validate it\'s inclusion. However, since the PS3 will almost all but certainly be an upgrade and refinement of the PS2 hardware, then they would still need a basic I/O chip, and I think the original EE would still be a bit too expencive and bulky to be used for such a trivial role in the machine. If they\'re going to put the original PS1 cpu into the PS3 as the I/O chip (which I doubt since it probably won\'t be powerful enough) then you might be able to play PS1 games after all...
Chances are though, that it will only provide backwards compatability with PS2 games, and will offer PS1 emulation though software.. provided by one of a hundred different companies or freelance programmers.